Proper planning for retirement can help you lead the lifestyle of your dreams in those post-work years.

Poor planning, however, can result in a series of financial crises that might be difficult to overcome.

And thanks to a variety of factors — including a struggling economy, fewer employer-funded pensions and rising health-care costs — retirement planning has become more complex.

The most important thing to do, experts say, is to meet with a qualified financial planner and start planning as early as possible with a specific plan to meet your needs. Everyone’s plan will be different, based on risk tolerance, responsibilities and opportunities. A person with a guaranteed pension will have different needs than someone without one, for example. Key considerations should include planning for six major challenges that retirees face: outliving your assets, inflation, market volatility, managing withdrawal rates, health-care expenses and unplanned circumstances.

50s: Getting your plan in place

For many people, the 50s mark a decade or more away from retirement, an important time to maximize funding for investment portfolios and make sure a plan is in place, financial planners say.

But as more people have kids later, their 50s often are spent bearing the costs of child-rearing and paying for college. Many people at this stage of life also face additional responsibilities caring for their parents.

“Retirement tends to get put on the back burner, but if you wait until you’re 55 or 60 to plan, it’s too late,” said Crystal Hawkins, a certified financial planner with CFO4Life in Coppell.

William Dendy, a Dallas-based financial planner who teaches retirement planning classes at Richland College and Collin College, said the 50s can be a sobering wake-up call for many people, as they consider what retirement actually costs.

With fewer companies offering pension plans, the threat of unemployment during economic downturns and uncertainty about Social Security benefits, things are more challenging than they used to be, Dendy said.

“Many people in their 50s thought this would be their peak earnings years, and then they ended up getting laid off,” he said.

Your 50s are also a time for making certain that key pieces of your retirement strategy are in place, especially estate planning, and understanding the role of tax issues and financial products, such as long-term-care insurance.

Obtaining long-term insurance can become more complicated and expensive after your 50s, especially if you develop an unexpected medical condition, Hawkins said.

60s: Shifting from planning to retirement

Deciding when to retire takes careful analysis of how well your plan can manage the income and costs faced once your regular paycheck stops.

The challenge can be both strategic and psychological, shifting from focusing on accumulating value in investment portfolios to making withdrawals, said Michael DeGroat, a financial adviser with Ameriprise Financial.

Once you retire, minimizing volatility in your portfolio is crucial.

“Many people think they can keep doing what they’ve been doing while they were working, but that strategy needs to change,” DeGroat said. “You can take a 15 or 20 percent change in value when you’re in your 30s or 40s, but not when you’re in your 50s or 60s.”

DeGroat works with his clients to use a variety of financial tools that can provide income during retirement and to prepare for challenges they may face through the years.

“Many people who had to move out of retirement and go back to work in 2008 and 2009 didn’t have the right plan in place,” he said.

Lifestyle adjustments can be another issue, as seniors redefine how and where they live.

“It’s a shock for people who have been working most of their life,” Hawkins said. “They don’t know what to do with themselves without the daily routine of going to work.”

Some clients move to their dream retirement destination, only to find life isn’t what they expected.

“It’s hard to get to their grandkids’ soccer games when they’re living far away, or that white sand beaches are great until tourism traffic gets bad or a hurricane comes,” Dendy said.

70s and beyond: Managing the plan

For many, their 70s are a time when big issues start to hit home, whether it’s the grief of losing a spouse or the feeling of lost independence that may come with a move to assisted living.

This can be the time when a retirement plan’s mettle gets put to the test.

After several years of retirement, inflation’s rising costs also can take a toll.

“Budgeting becomes more important because they’re living on a fixed income,” Hawkins said.

As crises hit, understanding where to find additional resources can be crucial to getting through difficult periods.

“Objective financial advice is what you need,” Dendy said. “Every investment has pluses and minuses, and you have to figure out which ones have the pluses you want and the minuses you can live with.”

Suzanne Marta is a Dallas freelance writer.

Where to get help

RESOURCES

Financial Planning Association of Dallas/Fort Worth: Includes a directory of area certified financial planners and offers some pro-bono, one-on-one financial counseling and planning, seminars and workshops. Topics include budgeting, financial literacy, insurance, savings and debt management. fpadfw.org/index.cfm, look under Resources and click on “Find a Planner.”

Social Security Administration: Provides consumer information on Social Security and Medicare benefits. ssa.gov6PT

“Elder Planning:” Discussion covers how to increase your disposable income; how to pay less tax on your Social Security, IRA distributions and other investments; how to handle catastrophic illness; and how to decide whether you need a will or trust. Jan. 24, 10:30 a.m.-1 p.m., $9 (includes lunch).

“Understanding Social Security:” A Social Security Administration representative will discuss the state of the Social Security system and the future of the program, retirement, disability and survivor benefits, how Social Security plans are taxed, the way Social Security is figured and what one can expect given certain circumstances. March 7, 10-11:30 a.m., $9.

To post a comment, log into your chosen social network and then add your comment below. Your comments are subject to our Terms of Service and the privacy policy and terms of service of your social network. If you do not want to comment with a social network, please consider writing a letter to the editor.